Black money: CBDT reviews HSBC accounts, ICIJ cases

The CBDT today reviewed some important black money and tax evasion probes being conducted by the Income Tax department, including the HSBC Geneva banks list and few others where it is suspected that Indians have stashed assets abroad.
Officials said the apex policy-making body of the tax department took stock of the investigations in these cases and sought a coordinated and prompt filing of prosecution cases, especially of those which are being supervised by the Special Investigation Team (SIT) on black money.
They said the Central Board of Direct Taxes (CBDT), during the meeting via video conferencing, went through the fine points of the investigation and prosecution cases of those Swiss bank accounts of Indians which were held by them in the HSBC bank Geneva, apart from those which were published by the International Consortium of Investigative Journalists (ICIJ).

The Income Tax department, till now, has filed over 140 prosecution complaints in courts against the HSBC account holders while over 50 notices have been issued in cases related to the ICIJ data.
Sources said the probe in these cases are likely to gather more pace after today's meeting.
The meeting which had all probe unit heads of the tax department interacting with CBDT Member (Investigations) Surabhi Sinha is also understood to have reviewed other big cases of tax evasion arising out of instances of hawala trade and illegal ponzi schemes.

Officials said cases of declarants who used the one-time compliance window to disclose their illegal assets based abroad, under the new anti-black money law, were also discussed.

A total amount of Rs 4,147 crore was declared by 638 entities during the 90-day black money compliance window and the total revenue from the stash funds declared during the window is expected to be Rs 2,488.20 crore.
These declarants have to pay their taxes by December 31 this year.
On the issue of bank loan frauds, Shah said it was the
domain of the RBI which can act and comment upon them.
Vice Chairman of the SIT Justice (retd) Arijit Pasayat also said they were "hopeful" that the one-time compliance window provided to domestic black money holders will be successful.

On 'Panama Papers', Pasayat said the follow up action of probe agencies is "bound" to produce good results.
Under the compliance window called Income Declaration Scheme (IDS), income as declared by the eligible persons, would be taxed at the rate of 45 per cent which is 30 per cent plus a 'Krishi Kalyan Cess' of 25 per cent on the taxes payable and a penalty at the rate of 25 per cent of the taxes payable on the income declared.
It opened on June 1 and will close in September. Taxes have to be paid by November 30.
The scheme was announced by the government with an aim to squeeze out black money from the domestic economy.

The government had come out with a similar scheme for Indians holding undisclosed income abroad last year.
The current scheme will apply to undisclosed income, in the form of investment in assets or otherwise, pertaining to Financial Year 2015-16 or earlier.
The declarations under the IDS can either be made online on the official e-filing website of the IT department or before the various regional Principal Commissioners.